Direct sales to major multiples signify the prospect of higher earnings for Kenya’s flower industry, but the country’s exporters will have to get to grips with the cost and complexities of logistics, packaging and marketing if they are to take advantage of the growing trend. According to Kenya Flower Council (KFC) chief executive Jane Ngige, more than 25% of the country’s flower exports are now being sold direct rather than via Dutch auction houses, providing an opportunity for value addition at source through sleeving, labelling and bouquet production. Quoted in Standard Digital, Ngige says that the prospect of making more money through value addition may help offset the effects of the Eurozone crisis, which has seen returns plummet, even though volumes have stayed strong. Kenya’s primary flower export is cut roses, making up nearly 88% of the trade. The country is the largest supplier of flowers to the European Union, with around 38% of the market.
GXO: CEO EXITFDX: DOWNGRADEZIM: BEST PERFORMER WTC: INVESTOR DAY AAPL: LEGAL RISKTSLA: UPGRADEXOM: DIVESTMENT TALKAMZN: HOT PROPERTYGM: ASSET SALEHLAG: PROTECTING PROFITSVW: STRIKINGPLD: FAIR VALUE RISKSTLA: CEO OUTDHL: BOLT-ON DEAL
GXO: CEO EXITFDX: DOWNGRADEZIM: BEST PERFORMER WTC: INVESTOR DAY AAPL: LEGAL RISKTSLA: UPGRADEXOM: DIVESTMENT TALKAMZN: HOT PROPERTYGM: ASSET SALEHLAG: PROTECTING PROFITSVW: STRIKINGPLD: FAIR VALUE RISKSTLA: CEO OUTDHL: BOLT-ON DEAL
By Alex Lennane